American Airlines said Tuesday that it expects to lay off about 4,400 mechanics, store clerks and ground crew workers as part of its restructuring.
Although the company notified the Transport Workers Union that more than 11,000 workers were at risk of being let go, the actual number will be less than 40 percent of that figure, American spokesman Bruce Hicks said."Far fewer people will be laid off than what we anticipated last February," Hicks said, noting that initially American had estimated it would cut 8,500 TWU jobs as part of its restructuring plan.The layoff figure has been lowered through new contracts agreed to by American and the TWU, and through attrition, job openings and a severance program for TWU workers who choose to leave.The WARN notice, which is required by federal or state laws depending on the location, listed 11,159 TWU employees that could be affected by workforce reductions in November and December. To mitigate the number of people affected, American offered TWU workers an early-out incentive that includes one-time severance payments starting at $12,500, then rising depending on seniority and other factors.Workers have until Sept. 25 to apply. So far, close to 1,000 mechanics and fleet service workers have done so, according to the TWU.As part of its restructuring, American announced last week that it is shuttering its Alliance Fort Worth maintenance facility by April and laying off most of the 1,100 workers in December. Some, depending on seniority, will be able to transfer to other maintenance facilities within American's network.American does not anticipate cutting any flight attendant positions since more than 1,600 flight attendants have already applied for an "early out" program that offers a $40,000 severance payment.Hicks added that the carrier does not expect to cut any pilot jobs partly because retirements are expected to increase in December when the government mandatory retirement age of 65 goes into effect.Leaders of the pilots union are in Washington D.C. this week, meeting with federal officials to discuss the lack of a contract with American. Pilots are the only unionized work group at American that has not reached a new contract agreement while the carrier has been in bankruptcy.In a message to members sent Tuesday, Allied Pilots Association President Keith Wilson said he will pose a question to government officials, "Is this any way to run an airline?"While AMR management continues paying lip service to needing a consensual agreement with us, their punitive approach of extracting far more value than they need is hardly conducive to reaching a consensual agreement. "In fact, they have made that critical task even more difficult."Wilson did not mention the capacity cuts that American announced this week, which the carrier said were partly due to more pilots calling in sick and flight crews filing more maintenance reports.Last month, a bankruptcy judge allowed American to reject its pilots contract and implement work rule changes it deemed necessary to restructure. Noting that it negotiated a deal that pilots voted down in August, the carrier said it is "thoughtfully" implementing work rule changes allowed by the court but will still talk with the union."We remain committed to reaching a consensual deal with the APA and stand ready to begin negotiations as soon as APA is prepared to do so," Hicks said. "APA has said it is currently surveying its membership to better understand why the tentative agreement failed to ratify and pilots' priorities, and we remain ready to meet when the union is ready."Andrea Ahles, 817-390-7631Twitter: @Sky_Talk
American Airlines to hire 1,500 flight attendants
American cuts schedule by 1-2 percent for September, October
Keep up with American Airlines' bankruptcy case in the Sky Talk blog
Have more to add? News tip? Tell us
